In trend terms, Australia's total goods and services credits (exports) increased throughout the 1990s. The major commodities contributing to this increase were travel services, metal ores and minerals, coal, coke and briquettes and other manufactured goods.

Three quarters of successive falls in total goods and services credits were recorded up to the June quarter 1999 following the Asian economic crises. Afterwards, exports returned to an upward trend, but have been declining again from December quarter 2001.

GOODS AND SERVICES CREDITS AT CURRENT PRICES

Period

Goods credits

$m

Services credits

$m

Total

$m

ANNUAL

1996–1997

80,934

24,226

105,160

1997–1998

88,538

25,206

113,744

1998–1999

85,783

26,242

112,025

1999–2000

97,655

28,317

125,972

2000-2001

120,307

33,204

153,511

2001-2002

121,180

31,039

152,219

QUARTERLY

2000-2001

March

28,603

8,777

37,380

June

31,693

7,375

39,068

2001-2002

September

31,756

7,912

39,668

December

31,109

7,360

38,469

March

28,713

8,625

37,338

June

29,602

7,142

36,744

Source: Balance of Payments and International Investment Position, Australia (5302.0).

Explanatory Notes

Goods and services credits (exports) are real resources that are provided to foreign residents. In the balance of payments they appear as credit items.

Goods credits refers to all movable goods which change ownership from residents to non-residents. These transactions are valued in f.o.b. (free on board) terms which means that transportation and insurance costs beyond Australia are excluded. In ABS balance of payments publications, goods credits are categorised into general merchandise and other goods. General merchandise is classified into rural and non-rural goods, with each of these classifications further broken down so that the trading performance of different commodity groups can be monitored. Other goods includes goods for processing and repair, goods procured in ports by carriers (mainly fuel) and non-monetary gold.

Services credits are transactions in services provided by Australian residents to non-residents. These are categorised into groups such as transportation, travel, communication, construction, insurance, financial, computer and information, royalties and licence fees, other business, personal, cultural and recreational, and government services not elsewhere included. More detailed breakdowns are provided under many of these categories.

The export of goods and services provides domestic producers with a wider market and allows the economy, as a whole, to share in the gains from trade. Export levels are affected not only by supply constraints but also by the demand for Australian products and services in the world market. Export demandis influenced by the prices charged and also the exchange rate of the Australian dollar. If the Australian dollar depreciates (falls in value), Australian exports will generally become cheaper for foreign residents and consequently they may demand more Australian goods and services. Export demand is also influenced by the level of economic activity in countries that purchase Australian exports.